There are not too many differences between a CFO and a virtual CFO, however, those few differences are quite large and are the make or break sometimes of a company.
What is a virtual CFO and what is their responsibility?
A virtual CFO is an outsourced individual who offers the highly specialized skills needed in order to oversee the financial requirements of an organization, exactly what a Chief Financial Officer does for large companies such as Ford, Nike, McDonalds, etc.
Virtual CFOs are there to give guidance, providing a sound financial base that enables you to plan ahead and grow your business. By working with your current staff virtual CFOs offer guidance in accounting, sales, training and evaluations of staff, as well as future strategic planning. Although this may seem like non-essential additional cost, it is far more cost effective than hiring a CFO. At the same time, it is money well spent as the financial insight you gain will pay off
What can a virtual CFO do for my business?
Going beyond the role of simply being a bookkeeper and managing staff, a virtual CFO is a company’s trusted financial expert. A virtual CFO can take over a variety of tasks:
Meanwhile a firm can choose to assign all or only several of these tasks to a virtual CFO, providing unmatched flexibility.
Who would benefit from a virtual CFO?
Virtual CFOs are not for every company. Large Corporations function much more smoothly with an in-house CFO. But other companies like SMEs, their overseas branch offices or startups may overlook the need for financial oversight and input for everyday business and strategic decisions. Working with a virtual CFO is often one of the best ways to grow your company and give it the financial stability it needs.
What is the role of cloud based accounting?
ECOVIS Beijing is complementing its conventional accounting services with cloud based accounting solutions. Cloud based accounting systems are very similar in functionality to enterprise resource planning solutions many large corporations are using nowadays. At the same time, there are major differences and significantly lower entry barriers. Costly hardware investments and time-consuming installation processes are unnecessary. Cloud based systems are automatically updated and always provide the latest version, while access is available everywhere and anytime.
Among the many benefits of cloud accounting are the following:
- Team members can quickly and easily complete work regardless of their physical location
- Access to the system is available at any time with a working internet connection and from almost any kind of device
- Files and their transmission are protected through state-of-the-art encryption technologies
- Manual data entry is decreased to a minimum, thanks to accounting and reorting taking place in one system
- Obtain real-time reporting and in-depth insights on your organization
- It is a major step towards increased and efficiency the paperless office
An online finance and accounting solution provides not online a more efficient accounting in general, but gives firms the opportunity to use the services of a virtual CFO. These can be a tremendous help for startups, SMEs, and branches with general manager but without an CFO. Please approach us to learn more about how your company could benefit from online accounting and virtual CFO services.
Richard Hoffmann is a partner at ECOVIS Beijing China. He obtained an honors degree in law and worked in Germany, the United States, and China for various prestigious law firms prior to joining ECOVIS. In addition to being a member of the board of ECOVIS International, he is Supervisor for the China business of a respected German company and shares his extensive knowledge to students by teaching commercial law in China at SRH Hochschule Heidelberg. He has published more than fifty articles in international magazines, frequently speaks at high profile events in China and abroad and is often invited as a legal expert by international TV stations. Contact: email@example.com
Ecovis Beijing is the trusted tax and legal advisor to several embassies and official institutions in China. It specializes in mid-sized international companies and is focused on tax & legal advisory, accounting and auditing. If you’re interested in finding out more about tax and legal, don’t hesitate to sign up for our Newsletter, give us a call +86 10-65616609 or contact us directly via firstname.lastname@example.org.